Cash flow, capital expenditure, roce and ebitda

In 2009, working capital control was tightened markedly and capital expenditure was more critically assessed than previously. Working capital of continuing operations improved in 2009 by € 36.1 million.
We stated in the Annual Report 2008 that we expected capital expenditure in 2009 to be less than in 2008, specifically some € 20 million compared with € 27.6 million. By adopting a conservative approach to investing, while continuing to approve sound projects, expenditure on intangible assets and property, plant and equipment came to € 12.2 million.
Of the amount concerned, € 9.2 million was for the opening of new stores, updating of formats and development of new concepts, and modernising existing stores. € 2.0 million was used for expenditure on logistics and information systems.

Capitalised expenditure was well below the cash flow figure of continuing activities (net profit for the year plus depreciation and amortisation) of € 56.5 million for 2009 (2008: € 67.9 million).

¹ Continued operations.

EBITDA (operating result plus depreciation and amortisation) of € 72.0 million for 2009 was below the figure for 2008 of € 91.6 million.

Net debt improved between year-end 2008 and year-end 2009, falling from € 209 million to € 135 million.

As a result of the steps taken, net average capital employed decreased by € 27.3 million to € 458.9 million.
The return on net capital employed (ROCE) was 17.0% for 2009 compared with 21.1% for 2008. Excluding the goodwill purchased on the acquisitions of Scapino and Brantano, return on net capital employed (ROCE) was 19.6% compared with 23.5% for 2008. Including the goodwill, the percentage for 2009 is 10.0% (2008: 12.8%).